Indian Silicon Manganese Market: Change In Demand Affects Prices

The subdued steel demand with mid-sized steel mills has led to limited inquiries, causing slow demand, and forcing silicon manganese producers to keep prices lower. In addition, the dry export demand and lower bids for silicon manganese have further added to the negative performance of the industry. International buyers are seeking lower prices or are preferring to hold off on purchases until prices decrease.

Price Movements

The current prices for silicon manganese (HC 60-14) have fallen by approximately Rs 500/ton week-on-week to around Rs 74,000/ton ex-works in Raipur and Durgapur, excluding GST. Export prices for the same grade are around $930/ton FOB, with some inquiries recorded at lower prices of $10-15/ton below the suppliers’ offered prices.

When it comes to steel price movement, mid-sized mills’ prices are more or less firm with volatility in offers during the week. In addition, a few locations in south and west India recorded a drop of Rs 500-1,000/ton, week-on-week.

Future Prospects

Silicon manganese prices are expected to remain unsupported due to uncertain steel price movements. Primary mills are keeping flat steel prices high, while long steel prices have slightly decreased. This stagnates demand for silicon manganese, although export inquiries may cause major price changes.

Insight 

Industry experts have noted that the Indian silicon manganese market is grappling with low demand from mid-sized steel mills, as well as lackluster export demand and lower bids for the product. With uncertain steel price movements, the market is expected to continue facing challenges. It remains to be seen how export inquiries will affect the future of the industry, and whether they will bring about any significant changes in the market performance.

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